FX.co ★ Indonesia Shares Expected To Open In The Green

The Indonesian stock market experienced a considerable rise on Friday, reclaiming momentum after a previous two-day win streak that had resulted in an almost 200 point, or 2.9 percent, surge. The Jakarta Composite Index now stands confidently above the 7,130-point benchmark, indicating a substantial foundation for the start of trading on Monday.

Global projections suggest a positive trend for Asian markets, driven by an improved outlook for interest rates. Solid performances by the European and U.S. stock markets, and anticipated comparable performances by Asian markets, underscore this optimism.

The Jakarta Composite Index (JCI) closed marginally higher on Friday, with a diverse performance from financial and resource stocks observed. Cement producers and telecom sector stocks, however, suffered minor setbacks. The index accrued 17.30 points or a 0.24 percent rise, closing at 7,134.72 after fluctuations between 7,094.62 and 7,165.10.

Prominent market participants exhibited a mix of results. Bank CIMB Niaga shares slipped by 2.4 percent and Bank Mandiri saw a 2.77 percent drop, while Bank Danamon Indonesia gained 0.75 percent. Similarly, Bank Central Asia experienced a 3.14 percent rise, and Bank Rakyat Indonesia dipped 0.21 percent. Other notable fluctuations included a 2.52 percent drop for Indosat Ooredoo Hutchison and a 2.04 percent rise for Bumi Resources, whereas Indofood Sukses Makmur, Kalbe Farma, and Bank Negara Indonesia remained steady.

U.S. Wall Street debuted strong, continued in the green, with the Dow climbing 449.98 points or 1.18 percent to close at 38,675.68, and the NASDAQ rallying 315.33 points or 1.99 percent to end at 16,156.33. The S&P 500 also saw a 1.26 percent increase, ending at 5,127.79. Weekly gains included a 0.6 percent climb for the S&P 500, 1.1 percent for the Dow, and 1.4 percent for the NASDAQ.

Optimism about interest rate outlooks, fueled by Labor Department data showing an unexpected dip in job growth for March, contributed to the Wall Street rally. The service sector contraction reported by the Institute for Supply Management further underpinned this outlook.

However, oil prices experienced a dip last Friday, resulting in their most significant weekly drop in three months amid concerns about global oil demand. West Texas Intermediate Crude oil futures were down by $0.84 or 1.06 percent at $78.11 a barrel.

In terms of domestic economic indicators, Indonesia is set to release its Q1 GDP figures. The figures from the previous quarter showed a 0.45 percent quarterly increase and a year-on-year rise of 5.04 percent.